The video on YouTube appeared to show journalist Kenji Goto wearing an orange jumpsuit and on his knees while a masked militant with a British accent waved a knife and threatened the Japanese government, according to the SITE Intel Group.

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The terrorist, apparently addressing Japanese Prime Minister Shinzo Abe, said Goto would be slaughtered "because of your reckless decision to take part in an unwinnable war."

"So let the nightmare for Japan begin," the terrorist continues before placing a knife on Goto's throat.

The video faded to black before an image of Goto's bloodied lifeless body was shown.

"I feel indignation over this immoral and heinous act of terrorism," Abe told reporters after convening an emergency cabinet meeting. "When I think of the grief of his family, I am left without words. The government has been doing its utmost in responding to win his release, and we are filled with deep regrets."

The terrorists then demanded that Jordan turn over Sajida al-Rishawi, a failed suicide bomber now on Death Row.

An audio recording released last week claimed Yukawa had been killed.

Japan's Prime Minister Shinzo Abe looks down as he speaks to the media at his official residence in Tokyo on February 1st. Abe condemned the apparent killing of journalist Kenji Goto by Islamic State, vowing to work with other nations to bring those responsible to justice. (Toru Hanai/REUTERS)

The militants, who control large swaths of Iraq and Syria, threatened to kill Kaseasbeh, who was captured last month after his plane crashed on a bombing raid, if Rishawi wasn't freed.

There was no immediate report on Kaseasbeh's status.

On Friday, Kurdish fighters in Kobani, a Syrian border town, claimed to have regained control of the destroyed city. The fighters rounded up the bodies of 20 ISIS militants killed during the takeover.

Jordan's government spokesman, Mohammed al-Momani, declined to comment Saturday on the video of Goto's apparent beheading.

"We have seen the video purporting to show that Japanese citizen Kenji Goto has been murdered by the terrorist group ISIL," said Bernadette Meehan, a spokeswoman for the White House's National Security Council, using an alternate acronym for the terrorist group. "The United States strongly condemns ISIL's actions and we call for the immediate release of all the remaining hostages. We stand in solidarity with our ally Japan."